There were quite a few blockbuster IPOs this year, mostly by tech firms, including Spotify (SPOT), Dropbox (DBX), Elastic (ESTC) and Chinese streaming giant iQiyi (IQ). While you were busy pursuing these popular tech stocks, what you probably missed was the fact that 2018 was, in fact, a year of healthcare IPOs.
At least 70 companies from the healthcare industry went public in 2018, constituting about 40% of all IPOs this year. Technology was the second largest sector, accounting for about 22% of all IPOs.
However, the sheer number of healthcare IPOs is the not the surprising element here; most of the best-performing stocks come from this industry as well. Eight out of the top 10 best performing IPO stocks come from the healthcare sector, with an average returns-till-date of a staggering 202%.
No surprises on the best performer here. Canada-based medical marijuana company Tilray (TLRY), which went public in July at an offer price of $17, is currently trading at $110.88, an increase of 550%.
Following this is a not-much hyped biotechnology company Allakos (ALLK), which is developing antibodies for the treatment of eosinophilic gastritis, an inflammatory disease of the gastrointestinal tract. The stock was offered at $18 and has since rallied to $59.03. In mid-October, the stock did fall to $33, but it regained value in the coming months.
But before you jump into conclusions, let us present the other side of the story as well. Healthcare stocks have a majority presence in the bottom 10 also, though not quite as extensive as the top 10. Six out of the worst 10 performing IPO stocks are from the industry, with Genprex (GNPX) and Eyenovia (EYEN) leading the pack. While Genprex has lost over 70% of its value, Eyenovia is down 67%.
The other four healthcare stocks in the worst performing list are Menlo Therapeutics (MNLO), Constellation Pharmaceuticals (CNST), Neon Therapeutics (NTGN), and Entasis Therapeutics Holdings (ETTX).
Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference, and much more!
Most Popular
CCL Earnings: Highlights of Carnival Corporation’s Q4 2025 results
Cruise operator Carnival Corporation & plc (NYSE: CCL) on Friday reported an increase in revenue and adjusted earnings for the fourth quarter of fiscal 2025. Earnings topped analysts' expectations. Revenues
Lamb Weston (LW) Q2 2026 Earnings: Key financials and quarterly highlights
Lamb Weston Holdings, Inc. (NYSE: LW) reported its second quarter 2026 earnings results today. Net sales inched up 1% year-over-year to $1.62 billion. Net sales at constant currency remained flat.
Paychex reports higher Q2 FY26 revenue and earnings; EPS beats estimates
Paychex Inc. (NASDAQ: PAYX) on Friday reported stronger-than-expected adjusted earnings for the second quarter of fiscal 2026. Revenues grew 18% year-over-year. The Rochester-based human capital management solutions provider reported revenues
Comments